Following last weeks announcement by Barclays that they are adding £700m to their PPI refund pot, Lloyds have revealed they are setting aside a further £1bn to cover compensation claims from customers who were mis-sold PPI.
PPI Refund Bill soars over the £11bn mark
The additional money has a significant impact on Lloyds profits for the year, pushing them into a loss of £144m and takes the total figure expected to be paid out by the UK banking industry to over £11bn.
Lloyds Banking Group are the biggest contributor with a bill now standing at £5.3bn once administration expenses are taken into account. Despite this, the bank, which is still partly owned by the UK taxpayer after being bailed out by the government in 2008, claim that their underlying financial position is improving.
PPI Complaints continue to pour in
The scale of the mis-sold PPI scandal continues to be revealed as an even bigger issue than was first believed. The Financial Ombudsman Service has been so swamped with referred complaints that it can now take up to a year for a case to be resolved.
Under instruction from the financial authorities the banks are slowly going through the process of reviewing past sales and alerting customers to the possibility that they could make a claim for compensation.
As those letters go out the number of complaints being made is only going to rise but you do not need to wait for the banks to contact you, call us today on 0800 849 8060 and by asking just a few simple questions our specialists will be able to tell you if you have a claim to make.
When the big high street banks announced that they were setting aside nearly £10bn to pay for claims on mis-sold PPI, it revealed just how big the scandal was.
Now, as Barclays officially announce they are adding another £700m to the original fund it is clear the problem was even bigger than first thought.
Massive influx of PPI Claims
The bank say they have received far more claims than they had expected. According to the Financial Ombudsman Service, the mediator for unresolved cases, the number of complaints doubled in the first half of 2012.
This shows that the public have now become fully aware that they may be owed compensation and they are not waiting to see if the banks contact them first.
Claim back your money from Mis-sold Insurance
This extra money takes the total fund allocated by the banks to over £10bn, with Barclays now becoming the second largest contributor to that figure, after Lloyds Banking Group.
If you think you may have a claim it is worth calling us today on 0800 849 8060, we can help to investigate if your claim is valid and get your share of that £10bn back on a strictly no win, no fee basis.
Banks still achieving Massive Profits
Despite planning to pay out an additional £700m in PPI compensation, Barclays still expect to achieve three month profits of £1.7bn.
Do not miss out on your opportunity to claim back what is owed to you, call The PPI Team today on 0800 849 8060 or start your claim online.
In the wake of the Libor scandal, a situation that is receiving a full-blown investigation from the government, the Guardian are calling for PPI mis-selling to receive the same treatment.
Counting the cost of aggressive mis-selling
Beyond the well documented sales practices that have led to so many successful PPI claims there is a whole host of other murky activity conducted by senior bank executives.
It is their practices that really need to be held to account as most salesman on the front-line were just following orders. The aggressive targets set for them may have encouraged more dubious selling tactics to be employed but the finger of blame should really point at the people setting the targets.
Collective mis-selling by the banks
It is believed that in a competitive industry the banks, building societies and insurers recognised that they needed to present a united front against the upcoming storm when the PPI scandal was really gathering pace.
They were prepared to work together to prepare collective responses to impending inquiries from both the media and regulators and took every step to avoid paying out any of the money which they have eventually been forced to.
Claim back the PPI refund you are owed
With the banks working so hard not to be helpful to their customers it is no surprise that people are so keen to bite back in the wake of the PPI scandal.
If you believe you may have been mis-sold PPI and want to make a claim please speak to one of our experts on 0800 849 8060 and get all the help you need.
With the amount of money still left unclaimed from mis-sold PPI policies it is not surprising that there are now a number of companies available to help you with your PPI claim.
Whilst this is a good thing and is helping people to get back the money that is rightfully theirs it is also unfortunately attracting scammers who are taking the opportunity to trick people into paying out money without offering any service.
PPI Fraudsters operating door-to-door
A recent example of this has been highlighted by Cheshire Police this week. They are warning residents that a team of people are operating a door-to-door scam in the area and have already conned dozens of people out of money.
The fraudsters are taking people’s details at the door and calling them soon after with false claims that they have investigated their case and discovered they are owed a large sum of money.
In order to continue they request an upfront payment, supposedly required to complete necessary paperwork, and the victim never hears from them again.
The PPI Team work on a “No win, no fee” basis
Beware any PPI company asking you for money upfront, at The PPI Team we operate on a strictly no win, no fee basis and you will not have to pay a penny until your claim is successfully completed.
We will also be sure to thoroughly investigate your PPI claim and talk extensively to the banks to validate your claim before we proceed any further.
If you would like more information please call us on 0800 849 8060 and speak to a PPI claims expert today.
When the high court ruling in April 2011 caused all of the major high street banks to announce they were putting aside billions of pounds to refund mis-sold PPI it was an unprecedented event in British Banking.
The FSA flexed it’s muscles, for so long thought to be rather weak, like they never had before. Together with the support of the new legislation the all-for-profit mentality of British Banking started to grind to a halt.
The change in the tide was predicted by some. For example the man known as the HBOS whistle-blower, Paul Moore, warned way back in 2004 that the bank was taking excessive risks. He was promptly dismissed and his silence paid for with a six-figure sum, the type of cloak and dagger tactic that has allowed the problem to grow for so long.
Consumers shocked by the extent of the PPI scandal
However for most consumers it came as a shock and that is why so much mis-sold PPI remains unclaimed. It was mis-sold so widely and with such reckless abandon that in many cases customers were not even told it was being bundled in as part of a mortgage, loan or credit card.
Since the lid was blown off the PPI scandal things have continued to get worse for the British Banking industry. Most recently the exposed manipulation of the Libor bank-rate has shown a level of corruption at the top which many might have suspected but few would have predicted would be unveiled so dramatically. Add to this the mis-selling of interest rate hedging products to small businesses and it is painfully clear that the banks are very much about the numbers and not at all about it’s customers.
That is why everybody who has a potential PPI claim should be refunded every penny they are owed and The PPI Team are here to make sure your claim is successful.
What will the next banking scandal be?
With the announcement from Prime Minister David Cameron that there will be a full parliamentary inquiry of the banking sector, alongside a more focused inquiry solely into the Libor market, the magnifying glass is inspecting British banks more closely all the time.
It is likely that other add-on products that are sold in a similar way to PPI will be the next to come under scrutiny. With the competition between banks to capture current account customers (who can then be sold other products) being so fierce it is an area where any morals or ethics fly out of the window. Many customers are now sold ‘premium’ current account products that include many features they don’t need, or like in the case of PPI, insurance that they would never be able to claim on or already have as a singular product.